You know the VAT issue is a pet hate of mine....I don't want to pay any more tax than the rest of the world, but the government makes me an unpaid tax collector as a privilege of being a moderately successful business-man. It then really gets me going when a reputable company suggest that they can "somehow" avoid your tax liability for you. I fully appreciate the world of the "cash deal", but when you buy from legitimate sources and import goods properly through customs, this is not an option.
If I give, say 15% discount on a part, I'm giving you a good deal AND saving you some of the VAT you would have paid at retail prices, but I'm not saving you the whole VAT amount even though that level of discount is the equivalent of the VAT in real money terms!